Capital Expenditures Slow

Capital expenditures fell by three percent in the first quarter of 2014, to an annualized value of $1.8 trillion. With the lower capital expenditures, the financing gap (think external financing needed) was a negative $77.4 billion, the 21st consecutive negative quarter. U.S. nonfinancial companies issued $4.873 trillion in new debt during the quarter and spent about one-half of that repurchasing equity.